Swimming in a Perilous Pool

Shares of Origin Agritech, China's first special-purpose acquisition company, could slip further if its leadership's legal problem's grow.

IF THE PERFORMANCE OF CHINESE STOCKS IMPRESSED you in 2006, you may have missed the story of a Nasdaq-listed company called Origin Agritech. Legally based in the British Virgin Islands but with operating headquarters in Beijing, Origin calls itself one of China's leading crop-seed companies. But while the Chinese market was jumping 100%-plus last year, Origin shares tumbled 14.5% to 10.94, for a recent market value of $250 million.

Blame the decline on fallout from the collapse of hedge fund Amaranth Advisors, which was...